Oct 17 Beauty products maker Coty Inc
said it would buy ghd, a high-end hairstyling appliances brand,
from private equity firm Lion Capital LLP for about 420 million
pounds ($522 million).
Coty, which owns hair color brands such as Wella and
Clairol, became the global No. 2 in hair color and styling
products through its $12.5 billion acquisition of Procter &
Gamble's perfume, hair care and make-up businesses in
London-based ghd, whose name stands for "good hair day,"
generated 178 million pounds in revenue in fiscal year 2016.
The business will become part of Coty's Professional Beauty
unit, which services salon owners and professionals in hair and
nail care, and will be a standalone business led by its current
Chief Executive Anthony Davey and team, Coty said on Monday.
The all-cash deal, scheduled to close by the end of 2016, is
expected to immediately add to Coty's earnings, the company
Sky News first reported the deal.
Coty said last year it would shift its executive team to
London, as part of its transformation into a global beauty
Lion Capital and ghd are being advised by Rothschild & Co
and Proskauer Rose LLP. Skadden Arps Slate Meagher & Flom LLP
is the legal adviser to Coty.
($1 = 0.8042 pounds)
(Reporting by Sruthi Ramakrishnan in Bengaluru; Editing by